Lab Automation is driven by increasing drug discovery and life science research

Lab automation refers to the utilization of robots and other automated equipment for handling and processing laboratory instruments and devices in order to support and enhance the efficiency and productivity of laboratories. Commonly used lab automation equipment include robotic systems for liquid handling, plate handling, sample storage/retrieval systems, consumable storage, and detection and communication systems. The global lab automation market is driven by the need to streamline operations and improve productivity in research and development laboratories as well as clinical diagnostic labs. Advances in robotics, hardware and software have enabled increased adoption of various automated solutions over conventional manual methods for tasks like sample handling, preparation and analysis. These solutions help reduce human error, save time, increase throughput and reproducibility while lowering costs.

The global Lab Automation Market is estimated to be valued at US$ 4,903.9 Mn in 2023 and is expected to exhibit a CAGR of 4.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
One of the key trends in the lab automation market is the increasing demand for modular systems. Modular systems enable flexible functionality by offering multiple configuration options for features like workflows, detection modalities, and storage capabilities. This modular approach allows easy customization and expansion of capabilities based on changing laboratory needs. Systems with modular architecture can also seamlessly integrate with other lab equipment from different vendors through open architecture and connectivity standards. This modular flexibility is expected to drive higher adoption of lab automation solutions going forward. Another major trend is the development of miniaturized high-throughput systems optimized for life science research and clinical diagnostics. Miniaturization enables automation of processes at smaller scales, therefore reducing volume requirements for reagents as well as turn-around times.

Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate due to high capital requirements for R&D, manufacturing, and marketing in the lab automation market. However, threat is expected to increase over the forecast period with advancements in technologies.
Bargaining power of buyers: The bargaining power of buyers is high given the presence of many global and regional players offering a wide range of products at varying prices in the market. Buyers can negotiate on price and demand additional services.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as there are many raw material suppliers and automation product component manufacturers. However, suppliers have less bargaining power owing to availability of substitutes.
Threat of new substitutes: The threat of substitutes is low as lab automation products are highly customized to specific applications. However, threat is moderate from alternative technologies with potential to deliver comparable results at lower costs.
Competitive rivalry: The competitive rivalry in the market is very high due to presence of many global and regional players offering differentiated products. Players compete based on technological innovations, quality, and service.

Key Takeaways

The global Lab Automation Market is expected to witness high growth over the forecast period owing to increasing need for workflow efficiency and rise in laboratory testing volume.

Regional analysis: North America is expected to dominate the market over the forecast period owing to presence of major players, adoption of advanced technologies, and government support for lab automation in the US and Canada. Asia Pacific is anticipated to grow at the fastest pace due to rising investments by market players and growing biotech and pharma industries in China, India, and Japan.

Key players: Key players operating in the Lab Automation Market are Tecan Trading AG, PerkinElmer Inc., Danaher, Thermo Fisher Scientific, QIAGEN, Agilent Technologies, Inc., Hamilton Company, COPAN Diagnostics Inc., Abbott, Merck KGaA, F. Hoffmann-La Roche Ltd, Siemens Healthcare Private Limited, UiPath, Porvair Sciences, SPT Labtech Ltd, Endress+Hauser Group Services AG, Automata, accroma, Molecular Devices, LLC, Beckman Coulter, Inc., BD, Reshape Biotech, Peak Analysis & Automation. Tecan and Thermo Fisher Scientific are the market leaders owing to their wide product portfolio and global presence.

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